Thailand Sees Photonics as Next Step in High-Tech Industrial Push

Thailand is positioning photonics as a key industrial priority as artificial intelligence and data center expansion increase demand for advanced digital infrastructure, said the Prime Minister’s Office on August 28. The government views the sector as a pathway to move beyond hosting data centers and into higher-value technology manufacturing.

Rachada Dhnadirek, spokesperson for the Prime Minister’s Office, said the administration has prepared policies to capture economic gains from the rapid global rise of AI and data-intensive services. Central to that strategy is support for photonics, including light-based data transmission technologies and optical chips used to handle large-scale digital processing.

Investment applications indicate rising private-sector interest. According to figures from the Board of Investment, 79 photonics-related projects sought promotional privileges between 2021 and June 2026, with combined investment value exceeding THB 82.7 billion. The applications cover fiber optic cable manufacturing, optical communications equipment, and high-speed optical transceivers for data center use.

Rachada said the investment pipeline reflects Thailand’s existing manufacturing capacity and its ability to advance into more sophisticated technology segments. She added that attracting capital into future industries is part of the government’s broader economic plan, which aims to raise total investment from about 23%-24% of gross domestic product to 30%. The target is intended to support Thailand’s long-term growth capacity at a sustainable rate of 3%.

The Office of the National Higher Education, Science, Research and Innovation Policy Council (NXPO) has identified several areas where Thailand could build on its existing industrial strengths in advanced electronics and semiconductors. These include integrated circuit design, power, photonics and sensors, all of which are described as technology groups with strong demand and growth prospects.

For photonics, the government sees a link to Thailand’s established role in printed circuit board (PCB) and printed circuit board assembly (PCBA) production. Officials believe that these industrial bases can be used to develop higher-value components and technologies, helping extend the domestic production chain and supporting the policy goal of upgrading the country into a high-technology manufacturing center.

Workforce preparation is also part of the plan. The government is coordinating with universities, educational institutions and private companies to develop training programs for engineers, technicians and researchers needed by semiconductor and related industries. The stated goal is to produce more than 100,000 personnel within five years.

Officials also expect the sector’s expansion to create opportunities for Thai small and medium-sized enterprises to join the broader supply chain. Rachada said the government intends to use growth in AI and the digital economy to shift Thailand from an assembly-focused base toward a high-tech hub, while supporting better jobs, skill development, higher incomes, access to new technologies and stronger national competitiveness.